Processing and clearing services of securities transactions

CPC v2.1 Code: 71523

About processing and clearing services of securities transactions

cpc code 71523 covers the processing and clearing services of securities transactions, which play a crucial role in the efficient functioning of financial markets. This industry facilitates the exchange of ownership of financial instruments, such as stocks, bonds, and derivatives, ensuring the smooth and secure settlement of trades. As a vital component of the broader financial services sector, the processing and clearing of securities transactions enable the flow of capital, support investment activities, and contribute to the overall stability and growth of the economy.

Production process

The main production techniques used in this industry involve the use of specialized software and technology platforms to execute and record securities transactions. This includes the electronic matching of buy and sell orders, the verification of trade details, the transfer of funds and securities between parties, and the maintenance of accurate records of ownership and settlement. Clearing houses and central counterparties (CCPs) often play a key role in this process, acting as intermediaries to mitigate counterparty risk and ensure the timely and reliable completion of trades.

Production inputs

The key inputs required for the processing and clearing of securities transactions include robust information technology infrastructure, such as high-speed data networks, secure servers, and advanced software systems. Additionally, this industry relies on skilled professionals, including financial analysts, traders, and operations specialists, who possess deep knowledge of financial markets, regulatory requirements, and risk management practices. Efficient and reliable communication channels, as well as access to real-time market data, are also essential inputs for this industry.

Production outputs

The primary output of the processing and clearing services of securities transactions is the successful execution and settlement of trades, which enables the transfer of ownership of financial instruments between buyers and sellers. The output of this industry is consumed by a wide range of other industries, including 66110 Securities brokerage, 66120 Securities and commodity exchanges, and 66190 Other activities auxiliary to financial services, except insurance and pension funding, as well as individual investors and institutional clients, such as banks, investment funds, and pension funds.

Family tree for processing and clearing services of securities transactions

    graph LR
    A["<a href='/classifications/cpc/v2-1/7'>7: Financial and related services; real estate services; and rental and leasing services</a>"]
A --> B["<a href='/classifications/cpc/v2-1/71'>71: Financial and related services</a>"]
B --> C["<a href='/classifications/cpc/v2-1/715'>715: Services auxiliary to financial services other than to insurance and pensions</a>"]
C --> D["<a href='/classifications/cpc/v2-1/7152'>7152: Brokerage and related securities and commodities services</a>"]
D --> E["<a href='/classifications/cpc/v2-1/71523'>71523: Processing and clearing services of securities transactions</a>"]

    D --> F["<a href='/classifications/cpc/v2-1/71521'>71521: Securities brokerage services</a>"]
D --> G["<a href='/classifications/cpc/v2-1/71522'>71522: Commodity brokerage services</a>"]

    

    %% Color coordination by level

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    classDef level2 color:#000,fill:#e0a458,stroke:#333,stroke-width:1px
    classDef level3 color:#000,fill:#419d78,stroke:#333,stroke-width:1px
    classDef level4 color:#000,fill:#c04abc,stroke:#333,stroke-width:1px
    classDef level5 color:#000,fill:#f1c40f,stroke:#333,stroke-width:1px
    classDef level6 color:#000,fill:#f1c40f,stroke:#333,stroke-width:1px
    classDef highlight color:#000,fill:#fff,stroke:#000,stroke-width:5px



  %% Apply classes
  class A level1
class B level2
class C level3
class D level4
class E level5
class F level5
class G level5

  class E highlight

  %% class A level1
  %% class B,C level2
  %% class D,E,F,G,H,I level2
  %% class J,K,L,M,N,O,P level3
  %% class E highlight